Analyst View

Traders are Watchful Due To Recent Instability In The Stock Market - Vishwas Agarwal

Improvement in Asian markets encouraged assurance in Indian equities on Friday. ICICI Bank, State Bank of India (SBI), Infosys, Reliance Communication, Housing Development Finance Corp. (HDFC) chaired the advancements.

BSE Sensex settled the week on a positive note at 15,138.40, up 152.70 points, whereas the broad-based NSE Nifty ended at 4,401.55, up 45.2 points.

Technical analyst, Vishwas Agarwal stated that presently the Indian markets are acting according to the worldwide market conditions. Traders are watchful due to recent volatility in the markets, he added.

Weakness in index heavy weight Reliance Industries (RIL) in last 5 trading sessions hassled markets last week.

Market Opens Strongly, Maintains Momentum

The 30-share index having maintained its impulse in the former session as it carries on to trade in the constructive terrain. Select stocks from cement, pharma, banking, auto and telecom led the advancements.

The BSE Sensex is trading strong at 15,193.66, up 207.96 points. NSE Nifty is ruling at 4,423.70, up 67.35 points (11.15 a.m).

Technical Analyst, Vishwas Agarwal suggested that the support of 4,286 for the NSE and 14,668 for the BSE are key levels to watch.

He also added that if the stock market falls below these levels, then we can think that a top has been formed for the next six months and the market will trade between 3,900 to 4,600.

4,286 And 14,668 Decisive Levels To Watch - Vishwas Agarwal

BSE SensexToday, the BSE Sensex failed to grasp its former gains and settled at 14,985.70, up 49.93 points, after touching an intraday high of 15,134.53.

While commenting on the current irregular trend, technical analyst, Vishwas Agarwal said that the stock markets are progressively turning susceptible to international markets.

“We are in a directionless market, with restricted upsides but any major global down trend can result in a huge set back,” Mr. Agarwal added.

Stock Markets To Trade In A Range bound Manner On Friday - Brokers Outlook

KJMC Capital MarketsBharat Thakur, assistant manager, Karvy Stock Broking stated that today market closed after making a profit of 50 points, though it opened its eyes very positive only to discard the majority of its gains. It traded in a range for the whole day.

Today banking region was good, particularly SBI and Kotak Bank. Reliance Industries also increased 2% that provided back up to the market.

RIL Outcome Is Vital To Save The Market Sentiments - Vishwas Agarwal

Today, the BSE Sensex saw a 500 point fall and cracked in proportion to other international markets.

While pointing out on the U-turn taken by the stock market, technical analyst, Vishwas Agarwal stated that Indian stock market was faultily affected today because of reduction in worldwide markets and panic selling.

Saturday’s RIL result is crucial to hoard the persuasions now. Any optimistic news from RIL can ease the market to some extent.

But one thing is obvious that stock market mood has turned very cautious now and people are feeling insecure. So they will make an effort to go out with minimal losses in their place before buying more at existing levels.

Hold Thermax: P-Sec

Broking houseThermax Ltd., P-Sec recommended hold rating on Thermax.

P-Sec report on Thermax:

Thermax reported a growth of 107% yoy and a bottom line growth of 103% yoy. The results bettered our expectations with a big margin, the EBITDA margins sank by 38 bps yoy. The management had given a rich guidance of 40% yoy growth for FY08 and have maintained there position of stable to better margins.

The current order book stands at Rs. 36.72bln (0up by 66%yoy) that is 1.42x net sales of FY07 offering visibility for future growth.